Sentech stopping classic packages & buying iburst?

anono moose

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A little bird has told me that Sentech is to stop the classic packages in the New Year because they are not profitable. They feel they are not scoring from the high caps and low prices. Instead they will introduce an extended range of flexi packages (flexi 1000 , 2000, 5000 etc as example) whereby the user has to pay per meg once the limit is reached! My suggestion, sign up on the classic packages before Sentech make this announcement. At least you have two years where they can't over charge you!:D

There is also talk that Sentech is looking at buying iburst! Current owners WBS are certainly looking to offload it as they are looking at buying more advanced technology!
 
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I would not be surprised if the classic packages were to go. Work it out - most ISP's get 1GB for R60. So let's say Sentech as a carrier of carriers gets it at R30. A heavy classic professional user is supposed to stop at 20GB but many have gone as high as 80GB. This means that Sentech paid R2400 for the bandwidth alone. Ok some of it will be local and may be cheaper but still, the point is that this is not a money making account. If the user used 20GB and 15GB of this was international, then we are talking about R500 for the bandwidth. Still not exactly a money spinner. I can't see how they make money on these packages.
 
This is how I think they can afford their packages.

Sentech have gone down quite a clever route.
Instead of using leased lines to connect the towers to the core network, they use Wireless uplinks, which they are licensed to use.
In my opinion, this reduces their costs dramatically.

Think about it? A wireless link between towers is going to be much more cost effective than a couple meg line branch to branch line from Telkom / Line to MPLS / ATM etc.

They also have there own Satellite infrastructure, so they can send selected traffic over that instead of SAT or Safe.

I reckon they get a Gig for about R15. Thats how they can afford what they do and still make money.
 
Connection said:
I would not be surprised if the classic packages were to go. Work it out - most ISP's get 1GB for R60. So let's say Sentech as a carrier of carriers gets it at R30. A heavy classic professional user is supposed to stop at 20GB but many have gone as high as 80GB. This means that Sentech paid R2400 for the bandwidth alone. Ok some of it will be local and may be cheaper but still, the point is that this is not a money making account. If the user used 20GB and 15GB of this was international, then we are talking about R500 for the bandwidth. Still not exactly a money spinner. I can't see how they make money on these packages.
Flawed reasoning...

All these kind of packages depend on the average user. There is no way that the average user even uses 6GB, never mind 80GB.
 
The best I've ever done was 11Gb in one month and that was in April 2004. These days I'm lucky if I can get 5 gigs a month. I'd like to know how someone can dl 80 gigs in one month!
 
There is also talk that Sentech is looking at buying iburst!
Correction.
Only the technology and equipment may be taken over for a certain dedicated project.
WBS will probably be throwing in their lot with Telscum's Wimax and what will happen to their current clients is anyone's guess.
 
ProAsm, any idea if they will be stopping the Classic packages?
 
they not gonna stop the classic packages. the flexi is available for those who want to spend much less. Classic will be remaining according to sentech marketing.
 
Connection said:
I would not be surprised if the classic packages were to go. Work it out - most ISP's get 1GB for R60. So let's say Sentech as a carrier of carriers gets it at R30. A heavy classic professional user is supposed to stop at 20GB but many have gone as high as 80GB. This means that Sentech paid R2400 for the bandwidth alone. Ok some of it will be local and may be cheaper but still, the point is that this is not a money making account. If the user used 20GB and 15GB of this was international, then we are talking about R500 for the bandwidth. Still not exactly a money spinner. I can't see how they make money on these packages.
Less than 4% of Sentech's users are "heavy users", that's how.
 
Sentech & Iburst

anono moose said:
There is also talk that Sentech is looking at buying iburst! Current owners WBS are certainly looking to offload it as they are looking at buying more advanced technology!

BLI(Blue Label Investments) bought iburst. So I dont think Sentech will get there hands in iburst unles they own BLI(Blue Label Investments)
 
This is not a rumour

Ny bos is moving to wbs because BLI bought wbs, and BLI want him to run the company
 
BLI(Blue Label Investments)

BioVolt said:
BLI(Blue Label Investments) bought iburst. So I dont think Sentech will get there hands in iburst unles they own BLI(Blue Label Investments)
BLI == Blue Label Investments
 
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